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September 2007

Update : Oct. 16, 2007

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1.Establishing of Tokyo Stock Exchange Regulation

With the enactment of the Financial Instruments and Exchange Law on September 30, 2007, Tokyo Stock Exchange Regulation (TSE Regulation) will be established on October 17, 2007. Tokyo Stock Exchange Group, Inc. will act as the founder.

On the day of establishment, TSE Regulation is scheduled to convene the inaugural general meeting and the board of governors meeting to formally select its governors, statutory auditors, and president. TSE Regulation also plans to apply to the Financial Services Agency for approval to launch self-regulatory operations. Tokyo Stock Exchange, Inc. (TSE), the market operating company, will also apply to the Agency for permission to entrust self-regulatory operations to the self-regulatory corporation.

TSE Regulation will begin operations in fact on November 1, 2007.

2.Partial Revision of Business Regulations in Tandem with the "Comprehensive Improvement Program for Listing System" and Changes in Organizational Structure

Based on the listing system guideline, "Improvement to Listing System based on Comprehensive Improvement Program for Listing System 2007", announced in June of this year, the TSE will partially revise its business regulations in tandem with changes in its organizational structure slated for this November.

The implementation of the revision will be timed to coincide with the beginning of operations by TSE Regulation on November 1, 2007.

3.Improvement to Trading Participants' Framework for Examining Listing Eligibility

When a securities issuer applies for listing, the TSE requests the applicant to submit a letter of recommendation and other documents prepared by the company's lead securities company. This is because the TSE conducts listing examinations after the preliminary inspection by the lead securities company, and through this process, ensures the securities' listing eligibility while maintaining and enhancing investor confidence in the TSE market.

In recent years, however, some cases have arisen of lead securities companies performing insufficient examinations.

The TSE will partially revise the Trading Participant Regulations and make the necessary adjustments to clarify the contents and framework of the examinations required of lead securities companies in order to maintain and improve the standards of such. After setting forth a period for comments and suggestions by the public, the revisions are scheduled to be implemented in December, 2007.

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